165 test bank for strategic management 2nd edition carpenter

Test Bank for Strategic Management 2nd Edition Carpenter 75 Test Bank True – False Questions 24 Test Bank Free Text Questions 66 Test Multiple Choice Questions Which of the following be

Test Bank for Strategic Management 2nd Edition

Carpenter

75 Test Bank True – False Questions

24 Test Bank Free Text Questions

66 Test Multiple Choice Questions

Which of the following best describes level 2 of the Level 5 Hierarchy?

1 A) Leaders must demonstrate teamwork abilities.

2 B) Leaders must prove their competency.

3 C) Leaders must show their ability to manage people.

4 D) Leaders must prove they are capable of leading a large organization.

The best description of the leader s ʹs role of spokesperson is which of the following?

1 A) The executive taps into a network of contacts to collect needed information.

2 B) The executive passes necessary information to external stakeholders.

3 C) The executive passes necessary information to internal stakeholders.

4 D) The executive designs the firm s ʹs strategy.

All of the following are examples of a leader s ʹs interpersonal r oles except

Which of the following best describes the leader role of nego tiator?

1 A) The executive designs the firm s ʹs strategy.

2 B) The executive deals with unforeseen internal and external conflicts.

3 C) The executive makes decisions concerning nonroutine transactions with other organizations.

4 D) The executive effectively allocates resources.

Religion falls into the category of

3 C) the task of reporting company progress in the business world to the media

4 D) the task of finding new locations, designing new facilities, and hiring contractors

The process of managing a well-planned and well-executed t ransition from one CEO to another is called

1 A) human resource planning

4 D) disseminator

Effective top-management teams require all except

which of the following criteria?

1 A)

The team can manage the needs of interdependent but often diverse functional are as.

2 B) The team has a valuable and effective social network.

3 C) The team is able to respond to sudden changes in the global economy.

4 D) The team is able to develop a coherent plan for executive succession.

Executive activities include interpersonal roles, informationa

Effective teamwork requires which of the following?

1 A) The team responds to a complex and changing environment.

2 B) The team can manage the needs of similar, independent units.

3 C) The team will work best with similar members.

4 D) The team requires a stable environment.

As a negotiator, the CEO is usually concerned with all of the following activities except

1 A) making decisions to acquire or merge with another firm

2 B) selling a major division

3 C) renegotiating a labor contract

4 D) hiring vendors

Succession planning is typically overseen by the board of di rectors, often with an outside

consulting firm, and usually involves which of the following company employees?

1 A) company vice presidents

2 B) human resources manger

The leader is willing and able to change an organization s ʹs strategic course even wh

en it represents a significant change from the traditional way of doing business.

3 C)

The leader works to develop a strong strategic plan and empowers the organization

to realize this vision.

4 D) The leader develops a coherent plan for executive succession.

According to the text, executives tend to be reactive and def ensive in their decisions when

their firms don tʹs have which of the following?

1 A) leadership training

2 B) skilled personnel

3 C) positive net worth

4 D) clear strategies

When the succession process founders, it can destroy the C

EO s ʹs legacy by all but which of the following?

1 A) undermining investor confidence

2 B) depressing the stock price

3 C) creating dissention on the board

4 D) causing an inferior CEO to be hired

All of the following are examples of a leader s ʹs decisional role

Social capital is defined as

1 A) the advantage created by a person s ʹs location in a structure of relationships

2 B) a pool of reserve funds designated for a company s ʹs social activities

3 C) the group within an organization that is perceived to contain the social leaders

4 D) the most important social network associated with a company

Any form of bias that prevents talented employees from bein

g promoted will put a firm at a

distinct competitive disadvantage, particularly in terms of its ability to

1 A) attract and retain necessary supply channels

2 B) attract and retain financial capital

3 C) attract and retain customers

4 D) attract and retain talented people

Executive activities can be divided into three basic areas tha

t include interpersonal, informational, and

1 A) Leaders must demonstrate teamwork abilities.

2 B) Leaders must prove their competency.

3 C) Leaders must show their ability to manage people.

4 D) Leaders must be able to delegate major responsibilities.

Demographics refers to all but which of the following?

1 A) education

2 B) gender

3 C) nationality

4 D) race

As spokespersons, CEOs perform such communication task

s as lobbying, public relations, and

1 A) formal reporting

2 B) recruiting

3 C) financial analysis

1 A) The executive taps into a network of contacts to collect needed information.

2 B) The executive passes necessary information to external stakeholders.

3 C) The executive passes necessary information to internal stakeholders.

4 D) The executive designs the firm s ʹs strategy.

Superior executives are distinguished by a talent for _ _

Studies of psychological determinants of strategic leadershi

p focus on four personality

characteristics: locus of control, need for achievement, toler ance for risk or ambiguity, and

1 A) verbal communication

2 B) nonverbal communication

3 C) social behavior

4 D) charisma and emotional intelligence

66 Free Test Bank for Strategic Management 2nd

Edition Carpenter Multiple Choice Questions - Page 2

Product-market stakeholders include all of the following exc ept

1 A) suppliers

2 B) customers

3 C) shareholders

4 D) distributors

Strategy is the central, integrated, externally oriented concep

t of how the firm will

1 A) achieve its objectives

2 B) meet investorsʹs expectations

3 C) grow in an orderly fashion

4 D) recruit and hire personnel

The challenge posed by a strategic purpose is to close the g

ap between the firm s ʹs aspirations and its current

1 A) capabilities and market positions

2 B) productivity level

3 C) personnel numbers

4 D) return on invested capital (ROIC)

Belief in the conviction that one s ʹs own national group or cult ural characteristics are normal ʺtoughnessʺ ʺtoughnessʺ is called

1 A) stereotyping

2 B) cultural bias

3 C) ethnocentrism

4 D) racial bias

The text discusses three sets of theories about the condition

s under which we make decisions

These theories are about

1 A) ourselves, other people, and our world

2 B) ourselves, our government, and our environment

3 C) other people, our world, and our families

4 D) other people, ourselves, and our families

Which of the following is not a nonfinancial performance met ric?

1 A) customer retention

2 B) employee turnover

3 C) inventory turn

4 D) new products released

One element of the organizational strategy diamond is _ _

1 A) determine the influences on strategy formulation

2 B) determine stakeholdersʹs power and influence over decisions

3 C) determine the roles of the individuals who comprise a stakeholder group

4 D) determine the effects of strategic decisions on the stakeholder groups

All of the following are part of a mission statement except

1 A) values

2 B) beliefs

3 C) standards of behavior

4 D) long-term action horizons

The trait that can lead people to give themselves more credit for their successes and take less

responsibility for their failures is

4 D) view of the future

The symmetrical coalignment of the five elements of a firm s ʹs strategy diamond contributes to

1 A) a firm s ʹs complexity

2 B) future balance

3 C) strategic purpose

4 D) strategic coherence

The best description of goals is which of the following?

1 A) a broad indication of organizational intentions

2 B) intentionally vague and ambiguous

3 C) specific measurable outcomes

4 D) statements of organizational purpose

A simplified, widely shared model of an organization and its f uture, including anticipated

changes in its environment, is called

1 A) vision and mission

1 A) vision and mission

2 B) efficiency and effectiveness

3 C) strategic purpose and strategic coherence

4 D) short-term and long-term goals

Social stakeholders include all of the following except

Which of the following is not one of the five elements of the strategy diamond?

1 A) vision and mission

2 B) policies and procedures

3 C) healthcare coverage

4 D) a strong customer base

Decision-making bias under which people are willing to com mit additional resources to a

failing course of action is called

1 A) illusion of control

2 B) self-serving fairness bias

3 C) illusion of optimism

4 D) escalation of commitment

Corporate governance is defined as

1 A) a corporation s ʹs group of decision makers

2 B) the roles of owners, directors, and managers in making corporate decisions

3 C) Umbrella

4 D) Mission

The technique used to identify key people who have to be wo

n over for an organization to be

successful is called

1 A) dimensional analysis

2 B) stakeholder analysis

3 C) psycho-social analysis

4 D) human resources analysis

The best scorecards let managers know how the strategy is going before they see the company s ʹs

1 A) growth projections

2 B) financial numbers

3 C) customer totals

4 D) vendor totals

The task of managing an overall enterprise and influencing k

ey organizational outcomes is referred to as

1 A) they provide measurable outcomes

2 B) they are the basis for a balanced scorecard

3 C) they influence strategy formulation and implementation

4 D) they provide a rigid framework for strategic management

Relying on a conventional conception of another group base

d on some common characteristic is called

1 A) a statement of what the firm will be in the future

2 B) a statement of the firm s ʹs values and purposes

3 C) a statement of the firm s ʹs measurable outcomes

4 D) a statement of the firm s ʹs specific targets

The steps in stakeholder planning include all but which of th

e following?

1 A) Arrange functions that keep stakeholders involved in the firm.

2 B) Fill in names of key stakeholders.

3 C) Plan the approach to stakeholder management.

4 D) Think through what you want from each stakeholder.

Which of the following is the best description of a vision stat ement?

1 A) a declaration of what the firm stands for

2 B) a statement of the firm s ʹs values and purposes

3 C) a statement of what the firm will be in the future

4 D) a statement of the firm s ʹs measurable outcomes

A system for translating vision and strategy into tangible per formance measured by criteria

such as sales growth and customer retention is called a(n) _ _

1 A) objective

2 B) balanced scorecard

is important for which of the following reasons?

1 A) its responsibility for formulating a strategy that realizes the vision and mission

2 B) its influence over the shareholders and board of directors

3 C) its role in environmental scanning

4 D) its responsibility for encouraging teamwork

75 Free Test Bank for Strategic Management 2nd Edition Carpenter True - False Questions - Page 1

An effective executive team relies partly on the division of la bor

1 True

2 False

The terms leadership and strategic leadership

may be used interchangeably

1 True

2 False

Clearly articulated vision and mission statements may be us

ed as substitutes for strategy

The mission statement is the declaration of what a firm is an

d its fundamental values and purposes

1 True

2 False

The ambiguity of vision statements enables organizations th

e flexibility to change strategy or

implementation tactics when it looks as if business as usual isn tʹs going to realize the expressed vision

Homogeneous groups tend to make better decisions becaus

e all group members have similar

backgrounds and see things in similar ways

A hallmark of a great leader is knowing when and how to foll

ow the lead of others

According to level 2 in the Level 5 Hierarchy, senior manager

s need to show the ability to manage other people

1 True

2 False

Succession planning is the process of managing a

well-planned and well-executed transition

from one CEO to the next

The Level 5 Hierarchy is a model of leadership skills calling f

or a wide range of abilities

1 True

2 False

Research suggests that the best way to understand the effec tiveness of CEOs is by examining their actions

1 True

2 False

According to the trait leadership theory, effective leaders ma

y be classified according to personality differences

Vision is a simple statement or understanding of what the fir

m will be in the future

The person who assumes the role of strategic leadership rep orts directly to the CEO

75 Free Test Bank for Strategic Management 2nd

Edition Carpenter True - False Questions - Page 2

Goals and objectives are statements of organizational identit

y and purpose that can guide

executives in making corporate decisions

1 True

2 False

Ethnocentrism is the conviction that one s ʹs own national, gro

up, or cultural characteristics are normal ʺtoughnessʺ ʺtoughnessʺ and ordinary

Strategic coherence is the symmetrical coalignment of the fi

ve elements of the firm s ʹs strategy,

the congruence of functional-area policies with these elemen

ts, and the overarching fit of

various businesses under the corporate umbrella

1 True

2 False

Employees, customers, governments, and even competitors may be considered stakeholders

1 True

2 False

Because they are general and ambiguous, mission and visio

n statements serve little strategic purpose

Escalation of commitment is a person s ʹs belief that he or she i

s in greater control of a situation

than rational analysis would support

1 True

2 False

Ignoring individual qualities puts executives at risk of makin

g unethical, unfair, and sometimes illegal decisions

1 True

2 False

When managers rationally evaluate the probability of risks, t hey tend to underestimate their ability to control these risks

Sometimes the parties that exercise significant power over fi

rm decisions don tʹs register as

having a significant stake in the firm

To be effective, visions and missions must be put in action i

n terms of specific goals and

objectives for directing strategic actions

At many companies, managers track strategic progress with

a tool called a balanced scorecard

1 True

2 False

An effective strategic purpose must be tied to a coherent set

of activities, goals, and objectives

anchored in measurable strategic outcomes

1 True

2 False